Additional Rice Allocation for Ethanol Production
07-May-2025 08:29 AM
Additional Rice Allocation for Ethanol Production
★ The Food Corporation of India (FCI) has allocated an additional 2.8 million tons of rice under the OMSS scheme for ethanol production, which clearly indicates that the government is interested in producing ethanol from other products as well.
★ In the previous season, ethanol was only allowed to be produced from maize and B and C molasses, which caused maize prices to skyrocket. However, now the demand for ethanol from maize is expected to be impacted.
★ Over the past few seasons, the country has seen bumper maize production.
★ As ethanol demand decreases, a decline in prices is expected, and profit-taking sales are likely to continue.